Teach Talk Trade Day Trading & Technical Analysis

Traders love to talk about their trading.

It’s much more comfortable for most traders to talk about what COULD BE rather than WHAT IS.

They love to talk about some chart setting up, their view of the political situation surrounding the stock or market…. whatever.

We all know that talk is cheap.

Intellectually, we know that the chart says everything we need to know, but as emotional beings, we are always looking for the “insight” or the “intuition” to put us a step ahead of everybody else who are all looking at the same charts we are.

If we don’t have the “eye to the future”, maybe a trading friend has it.

Sometimes all you have to do is call up a trading buddy and say, “Hi, how are you today?” What you’ll get in return will be, “Boy, have you seen the ’so-and-so’ chart today?

If that breaks the XY level, it’s going to really take off!” He continues, “And with that unstable political situation, this could really be a big trade.”

Why should we care?

We shouldn’t.

I guess we could take a look at the suggested chart and apply our trading parameters to it….. and if it passes scrutiny, well, that would be alright to trade, right? Yeah, OK.

You have to watch yourself, though. You see, you can have a tendency to want to MAKE a trade fit.

After hearing all about the great fundamentals, you can (subconsciously) view the chart with “I wanna buy” eyes, meaning that you can tell yourself that an almost-confirmation is close enough (with all those fundamentals going for it!).

That’s the danger.

It’s always best, I think, to come across a trade yourself. You see a price falling….. and falling….. gosh, when will it bottom? Your system says, “Don’t guess, be patient”.

Here’s one of my favorite expressions:

“I’d rather be out of a market (or stock) wishing I was in, than in a market wishing I was out.”

So, the market has a nice reversal day…. new low during the day with a higher close. Getting close to a buy, but not yet. The price goes higher for a few days and then starts to come back down.

It’s looking good.

The low holds, the market breaks the rally high and BOOM, we pull the trigger and we are in.

The system rules.

THAT’S the way to take a trade.

Every trader (you, included) has his or her own agenda. Only you know what works for you, system-wise and emotion-wise.

Trust in your tested trading system. It will serve you if you stick to it.

People think I’m crazy when they hear me talking to myself.

My close friends know that I’m just getting good trading advice!

Please take advantage of the FREE 7 DAY TRIAL to The Morning Call ( we discuss 21 futures, ETF’s, E-minis, NASDAQ & Solar & Alternative Energy issues ) & The Mechanical Monkey where we discuss our mechanical trades.

Mechanical Trading Systems and You, Trade your Plan

Traders love to talk about their trading. The love to talk about what could be than rather what is.Intellectually, we know that the chart says everything we need to know, but as emotional beings, we are always looking for the “insight” or the “intuition” to put us a step ahead of everybody else who are all looking at the same charts we are.

Sometimes all you have to do is call up a trading buddy and say, “Hi, how are you today?” What you’ll get in return will be, “Boy, have you seen the ’so-and-so’ chart today?If that breaks the XY level, it’s going to really take off!” He continues, “And with that unstable political situation, this could really be a big trade.” Why should you care? You shouldn’t.

I guess we could take a look at the suggested chart and apply our trading parameters to it….. and if it passes scrutiny, well, that would be alright to trade, right? Yeah, OK.You have to watch yourself, though. You see, you can have a tendency to want to MAKE a trade fit.After hearing all about the great fundamentals, you can (subconsciously) view the chart with “I wanna buy” eyes, meaning that you can tell yourself that an almost-confirmation is close enough (with all those fundamentals going for it!).

That’s the danger.It’s always best, I think, to come across a trade yourself. You see a price falling….. and falling…..

gosh, when will it bottom? Your system says, “Don’t guess, be patient”. So, the market has a nice reversal day…. new low during the day with a higher close. Getting close to a buy, but not yet. The price goes higher for a few days and then starts to come back down.It’s looking good. The low holds, the market breaks the rally high and BOOM, we pull the trigger and we are in.

The system rules. THAT’S the way to take a trade.Every trader (you, included) has his or her own agenda. Only you know what works for you, system-wise and emotion-wise. Trust in your tested trading system. It will serve you if you stick to it.

Please take advantage of the FREE 7 DAY TRIAL to title=”The Morning Call”>The Morning Call ( we discuss 21 futures, ETF’s, E-minis, NASDAQ & Solar & Alternative Engergy issues ) & title=”Mechanical Monkey”>The Mechanical Monkey where we discuss our mechanical trades.
 

The Blame Game–

“I have an friend. He’s an investor. He manages not only his own rather, but also those of some of his family, a responsibility which he takes very seriously. We share investment ideas, and some of the ideas he uses come from my recommendations, in The Morning Call and the Mechanical Monkey, among other sources. All in the family, right? Sometimes, one of those investment ideas goes south, and I feel compelled to send off an apology to my friend. Invariably, he responds in this manner – ‘Hey, don’t worry! I went into that one with my head up, did my own research and made my own choice. That makes it my responsibility, not yours…

‘ In this ‘victim society’ of ours, blaming someone else for our own mistakes teaches us! absolutely nothing. It’s a matter of personal choice and individual responsibility. Your recommendations offer value to me for one simple reason. They narrow the fields of my own research. I am not a professional, and I do not have enough time in a day to start from scratch. Your recommendations point me down roads which otherwise might not have been taken, and for that you have my gratitude. For what happens thereafter, or does not, I will take personal responsibility.”
Please take advantage of the FREE 7 DAY TRIAL to The Morning Call ( we discuss 21 futures, ETF’s, E-minis, NASDAQ & Solar & Alternative Engergy issues ) & The Mechanical Monkey where we discuss our mechanical trades.

Wednesday, 02-Jan-2008

Thursday, 03-Jan-2008

Friday, 04-Jan-2008

Monday, 07-Jan-2008

Tuesday, 08-Jan-2008

Monday, 31-Dec-2007

Wednesday, 02-Jan-2008

Thursday, 03-Jan-2008

Is online trading as difficult as many say it is? Actually it is more difficult! The easy part is opening an online trading account. You can open an online trading account with as little as $500.00. In my mind that is ridiculous for a serious trader. This is for a gambler in most cases. Now this would be good for a long term investor who will contribute each month and invest in some no load mutual fund, but not a trader. Many traders get some email or go online to search for the Holy Grail, get sold a bunch of B.S. and start to trade. Trading takes education, practice and skill. I have seen articles that note that most traders blow through their accounts within a few months. When you trade, you are trading against professionals with considerable resources. Don’t get me wrong, online trading can be profitable, but you have to be realistic in your expectations, you need education and the right tools. Trading is an emotional game that needs to be conquered. You must conquer fear and greed each day, but with practice you will have the edge. Online trading requires lessons, just like if you want to be proficient in martial arts or playing the violin. Online trading requires discipline each and every day, each and every trade. You need to have a set of rules within your trading plan that enables you to evaluate your overall trading plan. It is hard to evaluate what your success are as well as your failures without a clear trading plan. Teach Talk Trade has the lessons for your success.

Please take advantage of the FREE 7 DAY TRIAL to The Morning Call ( we discuss 21 futures, ETF’s, E-minis, NASDAQ & Solar & Alternative Energy issues ) & The Mechanical Monkey where we discuss our mechanical trades.

Thursday, 27-Dec-2007

Friday, 28-Dec-2007

Here I will talk about risk management in developing an online trading plan.  One area is position sizing.  Yes position sizing, do you hear me POSITION SIZING!  You have heard in real estate, location, location, location, well one mantra in online trading is position sizing.  In working your online trading plan, you will back into this area.  If you plan is realistic in its overall scope, your position size will be determined by  the plan and not some size out of your head.  When your position size is too large relative to your account size, you will engage on an emotional roller coaster.  Your online trading plan will crumble fast.  By limiting your  position size so that you are risking only a small fraction of your online trading portfolio on each trade, you are managing the emotional impact of profit and losses as well as managing your risk.  This is a part of money management also.  Many online traders are under capitalized and trade sizes that are too large for their portfolios.  They do this to generate income, their trading plan is most likely not thought out.  The emotional ups and downs will eat the trader alive, thus causing poor risk management which leads to lossesPlease take advantage of the FREE 7 DAY TRIAL to The Morning Call ( we discuss 21 futures, ETF’s, E-minis, NASDAQ & Solar & Alternative Energy issues ) & The Mechanical Monkey where we discuss our mechanical trades.

What do you suggest for the beginner or someone who is still searching for the Holy Grail?

I would suggest that this person take a hard look at themselves.  Get some education, and not the fluff that is peddled out there.  You need sound approaches starting from the basics.  Read, read, and read.  Keep current with the areas of the market that interest you.  As part of your education, you need to research the tools you will need that will help you get an edge, become more productive/profitable.  If you were a builder, would you go to work with only finish nails and one hammer in your toolbox?  This would make the process of framing a house difficult, it would be much easier if you could pull out your framing hammer and 10 or 12 penny nails, or better yet a nail gun to frame the house.  Consider participating in online trading rooms and setting yourself up like a business would, get the tools. Teach Talk Trade helps you build a solid foundation, from education, to chart room, a morning call and a live trading room.  We also have an Accelerated Educational Discount Package which is a complete package, a full toolbox, that will catapult you ahead of most traders.

Please take advantage of the FREE 7 DAY TRIAL to The Morning Call ( we discuss 21 futures, ETF’s, E-minis, NASDAQ & Solar & Alternative Energy issues ) & The Mechanical Monkey where we discuss our mechanical trades.

Most people do not know where to start in writing an online trading plan. I believe the that most who are entering the market should first start with education. They need to learn the markets. It is so easy for any one to start an online trading account these days. It should be like any other job. The typical person who wants to be a plumber, usually starts out tinkering with plumbing as a child, learns by watching a family member or friend, then starts an apprenticeship program and schooling , gets his/her plumbing license and becomes a plumber. A typical trader has some interest in the market, plays hot tips and loses money. You should approach the markets with an interested first, then education and apprenticeships and then you are ready to trade on your own. Here at Teach Talk Trade, we help you build that solid foundation of education, offer areas where you can apprentice and then trade with us on your own. Well back to that online trading plan you should write. Get familiar with the markets and get some education first. Online trading is available to virtually anyone. It is then that you will get a sense of the markets and see what might work for you. You will better understand your strengths and weaknesses and realize what might work for you. At this point you can start writing a trading plan, and yes it is important to write it down. You will be best served to write a plan from the top down. From what your yearly goals are, to monthly, weekly and then daily. You will need to write down what markets you will trade and how you will trade them. Teach Talk Trade has many articles that can help you with the process as well as training sessions.
Please take advantage of the FREE 7 DAY TRIAL to The Morning Call ( we discuss 21 futures, ETF’s, E-minis, NASDAQ & Solar & Alternative Energy issues ) & The Mechanical Monkey where we discuss our mechanical trades.